Martial Arts, First Korea-Japan Business Event Held After Summit Meeting

May 'Hanil Economic Leaders Meeting' Held as Preliminary Conference

The Korea International Trade Association (KITA) held the "23rd Korea-Japan New Business Trade Conference" on the 30th at COEX in Samseong-dong, Seoul, jointly with the Korea-Japan Economic Association and the Japan-Korea Economic Association. This event was the first Korea-Japan business event held since the Korea-Japan summit on the 16th. It served as a platform to discuss common issues such as industry, trade, and investment between Korea and Japan, and was held as a preliminary meeting for the "Korea-Japan Economic Conference" scheduled for May.

Under the theme "Turbulent Business Environment, Creating a New Future," the event was attended by about 100 businesspeople from both countries. From Korea, Jeong Manki, Vice Chairman of KITA, Jeong Daejin, Deputy Minister for Trade of the Ministry of Trade, Industry and Energy, and Lee Suchul, Chairman of GH Holdings, were present. From Japan, Yutaka Aso, Chairman of Aso Cement and Vice Chairman of the Japan-Korea Economic Association, and Toshiaki Uchida, Executive Director of the Japan-Korea Economic Association, attended.

In his opening remarks, Aso, the Japanese chairperson, said, "Since the Korea-Japan summit, the momentum for normalizing Korea-Japan relations has been strengthening," adding, "Through today's meeting, I hope that Korea and Japan will constructively discuss economic, human resource, and cultural exchanges and jointly create a new future amid the turbulent business environment."

Trade Tower exterior / [Photo by Korea International Trade Association]

The meeting was held in two sessions. In the first session, the expansion of Korea-Japan economic linkage was discussed, and in the second session, ways to promote mutual exchanges between Korea and Japan were the focus, with keynote presentations and plenary discussions following. Naoyuki Maekawa, head of the Seoul office of the Japan External Trade Organization (JETRO) and presenter for the Japanese side in the first session, explained, "Korea and Japan face challenges such as population decline, high external dependence, and increasing geopolitical risks," adding, "It is time to expand mutual exchanges, including jointly fostering a startup ecosystem that will drive innovation and employment."

According to KITA's presentation, Korea-Japan trade has been relatively subdued compared to the economic scale and potential expected as neighboring countries. Last year, Japan's share in Korea's trade was 6%, which was low compared to China (21.9%). This contrasts with neighboring countries such as Germany (14.2%) and Belgium (9.8%), and countries with similar shares like France, Canada (14.9%), and Mexico (14.7%) in the United States. The number of Korean companies exporting to and importing from Japan has also decreased, with the proportion of companies trading with Japan among total trading companies dropping from 20.8% in 2018 to 18.3% last year.

Vice Chairman Jeong said, "With the normalization of Korea-Japan relations following the summit, companies from both countries will be able to enjoy the trade and economic benefits expected from neighboring countries," adding, "Especially with the lifting of Japanese export restrictions, trade in semiconductor materials and parts as well as K-content and consumer goods is expected to be revitalized, which will reduce the trade transaction costs for companies from both countries that had been seeking new trade partners."